2023-3-25 14:00 |
Albeit short-lived, Litecoin (LTC) reclaimed the $100 level in February. After retracing below $70 on March 10, how much impact can the rising whale activity have on LTC in the coming weeks?
Whales are taking advantage of the recent Litecoin correction to buy the dip.
Litecoin Whale Activity Has IntensifiedLitecoin broke above $100 on Feb. 15. It was the first time LTC surged above $100 since slipping below the milestone in the aftermath of the TerraUST crash in May 2022. Critical on-chain metrics reveal that the recent 30% retracement has not deterred crypto whales.
According to, IntoTheBlock, a blockchain data analytics firm, the average size of LTC transactions has increased by over 600% in March 2023.
The chart below illustrates that the average LTC transaction size has increased from $13,355 on March 2 to $81,022 by March 23. This represents a sixfold increase in large transactions.
Litecoin (LTC) Average Transaction Size. Source: IntoTheBlockWhen the average transaction size increases as the price retraces, it signals an influx of large investors looking to buy the dip. Furthermore, considering their financial power, buy pressure from large crypto investors may push LTC into another rally in the coming weeks.
Notably, the recent accumulation trend among a critical cluster of whales further validates this bullish stance. Santiment data shows buying pressure from Litcecoin whale investors holding 1 million to 10 million LTC.
The blue line in the chart below shows that the whales started buying on March 1, when the price dropped. Between March 1 and March 24, they added 900,000 LTC tokens worth approximately $80 million.
Litecoin (LTC) Supply Distribution (1 million to 10 million) Source: SantimentThis cluster of whales took advantage of the recent dip to accumulate more tokens as they positioned themselves for future gains. Considering how they have perfectly timed their moves in the past, Litecoin could soon enter another rally.
LTC Price Prediction: $110 is AchievableSentiment’s market value to realized value (MVRV) ratio shows that investors who bought Litecoin in the last 30 days are at a 10% profit. A close look at historical MVRV trends suggests that LTC holders have often taken profits at the 20% zone. This means that $100 will likely be the next LTC resistance zone.
However, if Litcecoin pushes above $100, then the holders can expect minimal resistance until it reaches $115, around the 27% profit-taking line.
Litecoin (LTC) vs. MVRV (30D) ratio. March 2023. Source: SantimentStill, the bears can turn this around if LTC can slip below $80 at the 15% stop-loss zone. Further downswing may see LTC drop below $70 again before holders decide to cut their losses.
The post Litecoin (LTC) Retains Whale Interest Despite Recent Price Retracement, but Can It Reclaim $100? appeared first on BeInCrypto.
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